Banking: Rotten to the Core & beyond Reform

“Too big to fail” turned out to be as much of a lie as “I stole enough, I’ll stop here.” Too dirty to be allowed to exist, too dangerous for the welfare of the community, too irresponsible to be permitted to “self-regulate” is more like it. The collapse of the banks in the UK in 2008 did not bring an inquiry, instead a “reform” was recommended to be implemented by 2019. If you come home and find your house empty of your possessions, don’t you call the police? Don’t you want to apprehend the perpetrators? You just propose to study the locks over the next 11 years?!

Fines That Are Just Fine

The LIBOR scandal has only added another dimension to the depth of deceitfulness to which the banks have sunk. To the uninitiated the LIBOR is the interbank lending rate upon which much credit is based. The fact that they have been shown to have manipulated a trillion dollar market and are getting fined a few hundred millions is laughable. It is not even a rap on the knuckles. In fact it is a joke: the fine goes back into the bank system, into the same pockets.

Fine me, Your Honor! Fine me more, I’ve been bad!

You can’t make this stuff up. Think bank hold-up. Now reverse it: the bank is holding you up. All of you. Every day, again and again and again. It is like a nightmare that will not stop. Now we are getting an inquiry because the natives are restless. Still no one is being seriously charged for blatantly widespread criminality. Although today Bob Diamond, Chief Executive of Barclays Bank in the UK (a.k.a. Bob the Banker) has resigned from his £6-million a year job. Still no arrests. What is wrong with the British Police? Have they forgotten what their role is? Admittedly after the Leveson inquiry it seems like the police are more interested in making some money on the side selling stories to journalist hacks than arresting serious criminals like Bob Diamond.

The chairman of Barclays phoned me last night to let me know that this was the decision of the board and of Mr. Diamond, and I think Mr. Diamond made the right decision,

Osborne said.

Bob Diamond will get a paltry £30 million for doing the right thing and leaving – he should get 30 years without parole. Barclays said it submitted fraudulently low figures because it thought other banks were doing the same and higher submissions would have made it appear to be struggling. How would it sound in a real court of law:

Your Honor, we cooked the books because we thought everyone else was doing it and we didn’t want to look like we couldn’t keep up with the Joneses.

Too Big to Fail

Following the banking collapse of 2008 we were all told by our politicians that the banks were too important and too big to fail. They then promptly printed money to give to the banks, supposedly to get the global economy going again. But what did they banks do with all their freshly printed billions? They kept it, recapitalised themselves so as to offset any unexpected (or perhaps already planned) future liabilities.

Trading With Themselves

Another nasty and costly (to us) habit of the banksters is trading with themselves –a form of financial masturbation. The Bank of England has even been involved in this process several times: The Bank of England recently issued Government Bonds for UK debt for sale, but no one was interested. In the end the Bank of England bought back the Bonds with more money it had freshly printed in order to boost its own stimulus.

Bankers — The Real Terrorists

How much did the September 11 terrorist attack cost? According to the market (IF they are to be believed!) approaching 2 trillion. And how much has the banking crisis cost? The U.S. alone has over $228.72 Trillion in derivatives (credit default swaps) yet to be accounted for. A conservative estimate assesses a $40.83 Trillion Global debt. Total: 268 trillion minimum. To put that into perspective the banking crisis is over 100 times more expensive than 9/11, including the cost of operations in Afghanistan.

If you cannot trust the bankers, the mass media, the elected politicians or the police to do their jobs with some degree of integrity, then is there any rule of law left at all? The police, however, seem to be vigorously active in oddly selected cases. As reported elsewhere on deliberation, British Constitution Group Chairman Roger Hayeshe has withheld his Council tax because, along with other state taxes, a proportion of the tax revenue gathered is being sent to the European Union, used to fund unlawful wars in Iraq, Afghanistan, Libya and Syria, and promote terrorism right around the world. To pay tax under these circumstances is, at the very least, unlawful under Section 15(3) of the Terrorism Act 2000. In addition to his stance on taxes for unlawful purposes, Roger has also been campaigning for the Lawful Bank – a monetary initiative in which money can be issued to the public as credit, rather than as crippling debt under the existing corrupt and fraudulent International Monetary System. The police arrested Hayeshe in the middle of the night, bursting into his home as if they were the IDF and London were the West Bank.

Perhaps the police had the wrong address. They should be busy arresting the bankers and politicians. It should not be in the middle of the night. In fact full daylight is needed for the much needed operation of cleaning up the swamp in which we are drowning due to the corruption and criminality of mind-numbing proportions of the banking establishment, aided and abetted by the politicians and the ruling elite.

What Is to Be Done?

Central banking does not seem to be the answer. The banking system and the military-industrial system are one entity with the mass media as its handmaiden. We have allowed the money-monsters in banking and politics to rob us and our children blind again and again, giving them time to “reform.” Time to bury us deeper into unconscionable debt slavery. Where do we turn? Whom can we trust to chase the lenders of fake money out of the temples of our daily lives? Nobody but ourselves, wherever we are, awake, outraged and seeking justice.

And finally to conclude this piece – Max Keiser & Stacy Herbert for a little light relief. The end… is coming right back after this commercial break.

They got married already and honeymooned in Greece–more like a working honeymoon because he was on Greek TV there and gave the Greeks a piece of his (brilliant) mind.
Ok, but is this the most important insight of this article?
I find it informative–perhaps even more so for Americans than Brits– in an astoundingly scary way.
How can they be stopped? Can they or is it too late?

How can they Banksters be stopped. my theory is it will take a coup from within the power elite to topple to ruling Elite.

The Police are the most likely to turn as they have the most community connection. Ethical police may decide to start to arrest local bank managers throughout the UK. They were all part of the Banking fraud. Either the police join with the people or they will be thrown into conflict with them as long as the rule of law is so unjust.

“How can they Banksters be stopped. my theory is it will take a coup from within the power elite to topple to ruling Elite.”

take away their power – nationalise the banks.

“The Police are the most likely to turn as they have the most community connection. Ethical police may decide to start to arrest local bank managers throughout the UK. They were all part of the Banking fraud. Either the police join with the people or they will be thrown into conflict with them as long as the rule of law is so unjust.”

maybe in the uk, but very unlikely in the usa. in the usa cops do not associate much with people not involved in the law enforcement industry. cops are like mafia with a license to commit criminal acts and regularly abuse pretty much who they want to. they don’t see themselves as part of society, but above it and better than it. cops would probably be the last hold outs in any sort of american “rebellion”, even the military would break with the rulers before cops would. if american cops were to start arresting bank managers on their own, it would probably be because the bank managers failed to pay enough protection money.

I agree with you on the US–not only because of the cops but also because of the profound obtundation of the people.
The Brits may know what ails them, the Americans think it is the Mexicans and the ‘terrorists’

The Brits may know what ails them, the Americans think it is the Mexicans and the ‘terrorists’

I don’t think that is necessarily true but I guess it depends what region of the country you’re in. Criticism of the banks has traditionally been a “right-wing” issue and has been pretty much ignored by the “Left” for decades. Doug Henwood, of Left Business Observer, for example has long defended the Central Banking system against right-wing attacks and Liberals such as Krugman, Stilitz, and Pollin are still offering Keynesian (borrow-and-spend) solutions without addressing debt. In Pollin case he claim public debt is “manageable” and avoids the inherent wealth transfer to the banks from public borrowing.

However the debt today the situation cannot be ignored but overall the Left is still timid on this issue. My guess is because Jews dominate the financial sector and the Left wants to conceal that fact.

Max Keiser also noted in one if his reports that the banks use two sets of interest rates:
One for the money they loan you– currently in the US the credit card interest rates are in the high double digits; and
Another for the money you deposit with them, which is MINUS, less than zero to themselves, in other words, they CHARGE you for giving them your money to keep.
THAT should be outlawed! It is THEFT. They use your money so there should be no service charge even.
They manipulate the Consumer Price Index (CPI) to fool us into believing inflation is a lot lower than it is. If they swear by their number then banks should not be allowed to charge interest higher than 1% over the inflation rate and compounded interest should be absolutely outlawed.

why would there be a need for interest at all? a profitable socialist enterprise? kinda defeats the purpose, no?

nationalised, state run banking means no interest. one pays back the principle. and this doesn’t have to be monetary, either. but that’s getting into the “red zone” of a non-monetary society. surely satanic… 😉

You’ll also have to get rid of the central bank and the fractional reserve system where the incentive is to put people into debt.

The government should be the sole agency of producing the currency and managing the money supply. The value of a national currency should be tied to its productive capacity. Ironically this is what was done in Germany after 1933 when came to into power.

i hope you realize that to talk of a debt-free banking system is extremely anti-semitic. you are replacing a serious discussion of economics with vile racist propaganda. i didn’t know this site was a meeting place for thought-criminals. it should be barred from the internet.

cease now, whilst you still have a puny and threadbare existence to cling on to.

you are given official warning that IDF snipers have been instructed to shoot three pseudo-Palestinian scum-children in the leg for each day you continue with this malevolent nonsense. if this does not work i will order a non-existent nuclear bomb to be launched at Damascus.

Brilliant yes I was thiking of handing myself in to the authorities for further questioning. All this talk of Bank alternatives is dangerous stuff, who knows where it could lead – Balanced budgets, stable economies & even wait for it…… growth.

Round up everyone in the banking industry who is on a salary of more than 250K and give them a simple choice of sweeping the streets or cleaning NHS hospitals for five to ten years (depending on income) or summary execution by firing squad.

“nice fair…”
250K!!!! it would take me near on 25 years at least to earn that amount. It’s not like brainy people work harder, like 48 hours a day. They eat well and don’t have to do without – for what? pushing paper around and tricking people.
I think that thresh hold is way too high. What about 15K and if they feel short changed then they can work on the relief convoys for the poor, financed with the rich people’s sequestrated dosh.

“Nationalize..” “get rid of the Fed..” get rid of the fractional reserve banking..’ “regulate,” none of this is even remotely possible without erasing the whole system and starting from scratch.

Patch regulations here and there are like confiscating the guns of a gang of robbers as well as their ill-gotten loot, sending them to an ethics class and going on from there.

But who gave them the guns? With whom did they split part of the loot?
Who wrote the hold-up speech for them:
“Raise your arms above your heads and don’t make any hasty moves! This is for your own good. You have been lazy, fat and wasteful. We need what’s in the till and the contents of your pockets to defend you from yourselves and from the enemies outside.”

None of the big changes we talk about can be made in a “Regulatory Revolution.”

Found this interview;https://www.youtube.com/watch?v=LOJAZJCXs0E
with Gong band members discussing the music industry among other things.
“They’re coming between us, they have been for years, bastards” – Daevid Allen
.
On that note, here’s a tune and video for the yute that covers so much;https://www.youtube.com/watch?v=gzmVGaqxnR8
“Ever since I known you, you been out to get me
Acting like my peeps, but I know that’s how you tricked me
Love to see me get high, love to see my tipsy
Heard you even wanna stick a little chip in me
You been trying to play me close ever since my shine
Wanna take me to dinner, feed me shrimp and swine
You said, “Amil I want you to meet a good friend of mine
His name is Money and we partners till the end of time”
Introduced me to your clique, hate, envy, lust and greed
Said you want the whole world in ya custody
And if I give you my soul you’ll give me luxuries
Said you could hit me up wit power, it’s just up to me
I turn you on when I’m in short skirts and tight jeans
You want my kids to write Santa and celebrate Halloween
Told me sell my people crack and get rich off fens
You love the number six but hate the number thirteen
.
We’ll have some quarrels
Some disappointments
And a whole lot of problems
And you will accept me
.
You wanna, be the one to pick me up when I fall
Told me hang Casear bojease on my living room wall
It was always something bout you that made my skin crawl
You turned me into a player and showed me how to ball
You give me rewards when I rob and steal
Want me to abort my babies and get on the pill
You put burners in the hood so each other we kill
I see your eye watching me on the dollar bills
When I got the scoop on you, it just made you mad
Cause I moved out your crib, packed all my bags
Them days I turned to you was the days you laughed
You used to smile every time I pledge allegiance to the flag
We speak now and then but we ain’t smacking hands
You be up in the clubs asking me for a dance
Still trying to convince me to go cheat on my man
Begging me to please give you just one more chance
.
We’ll have some quarrels
Some disappointments
And a whole lot of problems
And you will accept me
.
When we was kids you was the one who taught me how to lie
Said I could always use you as my alibi
And you kept me from knowledge, wisdom, and the most high
Had me believe God had blond hair and blue eyes
Our relationship went sour since I found the truth
You know you can’t have me so you fuck with my youth
You got all my phones tapped, I gotta talk at booths
I learned an eye for an eye and a tooth for a tooth
You built Sodom and Gomorrah for us all to live in
When we was cool you used to tell me all your visions
Like how you gonna rule the nations under one religion
You got this New World order, it’s like a big prison
You said you wanna be worshiped from noon to noon
Nothings gonna get better is what we all assumed
Cause nights is getting shorter and it’s snowing in June
I see you working overtime cause you out of here soon”
– Amil

“We are stressing to investors to take their gold out of the banking system, not only because there are runs on banks that will continue, but the risk of being in the banking system is major. So you should take the additional step of not just owning physical gold, but also owning it outside of the banking system.”

venezuela was wise to pull their gold from london. but i hope they found a safe place for it, not just another corrupt location.

“Introduction: One of the most striking socio-economic features of the past two decades is the reversal of the previous half-century of welfare legislation in Europe and North America. Unprecedented cuts in social services, severance pay, public employment, pensions, health programs, educational stipends, vacation time, and job security are matched by increases in tuition, regressive taxation, and the age of retirement as well as increased inequalities, job insecurity and workplace speed-up.

The demise of the ‘welfare state’ demolishes the idea put forth by orthodox economists, who argued that the ‘maturation’ of capitalism, its ‘advanced state’, high technology and sophisticated services, would be accompanied by greater welfare and higher income/standard of living. While it is true that ‘services and technology’ have multiplied, the economic sector has become even more polarized, between low paid retail clerks and super rich stock brokers and financiers. The computerization of the economy has led to electronic bookkeeping, cost controls and the rapid movements of speculative funds in search of maximum profit while at the same time ushering in brutal budgetary reductions for social programs.

The ‘Great Reversal’ appears to be a long-term, large-scale process centered in the dominant capitalist countries of Western Europe and North America and in the former Communist states of Eastern Europe. It behooves us to examine the systemic causes that transcend the particular idiosyncrasies of each nation.”

July 06, 2012 “Information Clearing House” — The former Countrywide Financial Corp., whose subprime loans helped start the nation’s foreclosure crisis, made hundreds of discount loans to buy influence with members of Congress, congressional staff, top government officials and executives of troubled mortgage giant Fannie Mae, according to a House report.

The report, obtained by The Associated Press, said that the discounts – from January 1996 to June 2008, were not only aimed at gaining influence for the company but to help mortgage giant Fannie Mae.

Countrywide’s business depended largely on Fannie, which at the time was trying to fend off more government regulation but eventually had to come under government control.

Fannie was responsible for purchasing a large volume of Countrywide’s subprime mortgages.

Countrywide was taken over by Bank of America in January 2008, relieving the financial services industry and regulators from the messy task of cleaning up the bankruptcy of a company that was servicing 9 million U.S. home loans worth $1.5 trillion at a time when the nation faced a widening credit crisis, massive foreclosures and an economic downturn.

The House Oversight and Government Reform Committee also named six current and former members of Congress who received discount loans, but all of their names had surfaced previously.

Documents and testimony obtained by the committee show the VIP loan program was a tool used by Countrywide to build goodwill with lawmakers and other individuals positioned to benefit the company,” the report said. “In the years that led up to the 2007 housing market decline, Countrywide VIPs were positioned to affect dozens of pieces of legislation that would have reformed Fannie” and its rival Freddie Mac, the committee said.

Some of the discounts were ordered personally by former Countrywide chief executive Angelo Mozilo. Those recipients were known as “Friends of Angelo.”

The Securities and Exchange Commission in October 2010 slapped Mozilo with a $22.5 million penalty to settle charges that he and two other former Countrywide executives misled investors as the subprime mortgage crisis began. Mozilo also was banned from ever again serving as an officer or director of a publicly traded company. Huffington Post

HIGHLIGHTS

Among those who received loan discounts from Countrywide, the report said, were:

– Former Senate Banking Committee Chairman Christopher Dodd, D-Conn.

– Senate Budget Committee Chairman Kent Conrad, D-N.D.

– Mary Jane Collipriest, who was communications director for former Sen. Robert Bennett, R-Utah, then a member of the Banking Committee.